Balfour Beatty confirms 650 job losses

Grant Prior 12 years ago

Balfour Beatty has confirmed 650 staff will be made redundant as part of a restructuring and efficiency drive at its UK Construction Services business.

The cuts will come from white collar staff among the 12,000-strong workforce rather than project delivery and site workers.

Around 4,000 staff are believed to work in office-based functions meaning one-in-six jobs will go.

The Enquirer first revealed the true extent of the redundancy programme last month.

The restructure will see a stronger focus on growth areas as Balfour looks to “emerge from the current downturn in UK construction as a more operationally efficient business.”

The new-look construction business will operate through three streams from January 2013 as support functions are centralised.

The divisions are:

  • Major infrastructure – focused on complex projects in key sectors such as energy and transportation.
  • Regional mechanical & electrical – across all sectors.
  • Regional civil engineering and building – providing locally delivered, flexible and fully integrated civils and building services through partnerships and frameworks to strategic customers.

A new senior leadership team will also be unveiled at the end of this month which “will take the new business forward during a transition period which will run through to January 2013.”

The existing management team across Construction Services UK will remain in place during the transition period.

Mike Peasland, CEO of Balfour Beatty Construction Services UK, said: “This operating model will sharpen our focus on growth sectors and ensure the seamless integration of our capabilities for our customers as well as giving us the opportunity to create a more efficient structure.”

Balfour Beatty Construction Services UK consists of Balfour Beatty Construction Scottish & Southern, Balfour Beatty Construction Northern, Balfour Beatty Major Civil Engineering, Balfour Beatty Regional Civil Engineering, Mansell and Balfour Beatty Engineering Services.

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